NY High Court Nixes Tax Clawback In Warning To Albany

Law360, New York (June 5, 2013, 6:55 PM EDT) -- A ruling by New York's top court striking down a law that revoked Empire Zone corporate tax benefits serves as a signal that judges will hold the state accountable when it enacts new corporate tax breaks such as a massive plan currently being pushed by Gov. Andrew Cuomo, lawyers say.

A 5-1 majority of the New York State Court of Appeals said Tuesday that passage of the retroactive tax hike violated due process rights. The ruling's immediate impact will be to send plaintiffs, including Morris Builders...